inprogress%3falseeBookPrint ItemMarchete Company produces a single product. They have recently received the results of a market survey that indicates that they can increase the retail prio10% without losing customers or market share. All other costs will remain unchanged. Their most recent CVP analysis is presented below.CurrentUnits sold910Sales Price per Unit$130Variable Cost per Unit66$$31Contribution Margin per UnitFixed Costs$26,474Break-Even (in units)854Break-Even (in dollars)$111,020Sales$118,300Variable Costs$90,090Contribution Margin$28,210Fixed Costs$26,474$1,736Net Income (loss)If they enact the 10% price increase, what will be their new break-even point in units and dollars? If required, round final answers to nearest wholeNew PriceBreak-even (in units)Break-even (in dollars)FeedbackAnd Exit

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Description: inprogress%3falseeBookPrint ItemMarchete Company produces a single product. They have recently received the results of a market survey that indicates that they can increase the retail prio10% without losing customers or market share. All other costs

New Contribution margin per unit = new selling price per unit - variable costs per unit = (130*110%)…

Business

Accounting

Marchete Company produces a single product. They have recently received the results of a market survey that indicates that they can increase the retail 10% without losing customers or market share. All other costs will remain unchanged. Their most recent CVP analysis is presented below. Current Units sold 910 Sales Price per Unit $130 Variable Cost per Unit $99 Contribution Margin per Unit $31 Fixed Costs $26,474 Break-Even (in units) 854 Break-Even (in dollars) $111,020 Sales $118,300 Variable Costs $90,090 Contribution Margin $28,210 Fixed Costs $26,474 Net Income (loss) $1,736 If they enact the 10% price increase, what will be their new break-even point in units and dollars? If required, round final answers to nearest whe New Price Break-even (in units) Break-even (in dollars) $ Feedback

Marchete Company produces a single product. They have recently received the results of a market survey that indicates that they can increase the retail 10% without losing customers or market share. All other costs will remain unchanged. Their most recent CVP analysis is presented below. Current Units sold 910 Sales Price per Unit $130 Variable Cost per Unit $99 Contribution Margin per Unit $31 Fixed Costs $26,474 Break-Even (in units) 854 Break-Even (in dollars) $111,020 Sales $118,300 Variable Costs $90,090 Contribution Margin $28,210 Fixed Costs $26,474 Net Income (loss) $1,736 If they enact the 10% price increase, what will be their new break-even point in units and dollars? If required, round final answers to nearest whe New Price Break-even (in units) Break-even (in dollars) $ Feedback

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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